FI Results June 2012 Presentation Agenda 1

FI Results June 2012

Presentation Agenda 1. Introduction → Background → Coverage and Methodology 2. Main Findings → → → → → The Media Evolution Internet everywhere by any means Media multi-tasking means more active consumers Brand relationships grow via digital touchpoints The Internet is an entertainer and enabler Connectivity via mobile phones increasing engagement Instant access to information at consumers fingertips Internet enriches consumer communication Online plays a key function in the purchase funnel 2

Background • As part of their research remit, the IAB Europe conducts Mediascope Europe, widely recognised as the industry standard consumer research study on the European media landscape • The broad aim of this study is to capture the different ways in which consumers are developing across Europe and assess their similarities and differences → Identify changing media consumption patterns → Evolution of media multi-tasking and emerging and evolving online media → Video consumption, social media and e-commerce 3

Coverage and Methodology • Fieldwork took place in 28 markets in February 2012 • An Omnibus + Online Finland methodology was used across Russia Norway all countries totalling nearly Sweden Czech 50, 000 interviews Republic • The application of quotas Denmark Poland ensured that representative Ukraine Ireland UK samples were achieved in Slovakia Germany each Market Netherlands Romania Hungary → quotas on age, gender, France education and regional Bulgaria Belgium Turkey distribution were Italy applied Slovenia Spain Portugal Greece Switzerland Austria Croatia Serbia 4

The Media evolution 3. 9 m of Finns are online Total adult Finland population of 4. 4 million 5

The Internet evolution 87% of all Finns are online EU: 65%, WE: 81%, NE: 87%, SE: 61%, CEE: 55% Finnish Internet users spend on average 13. 2 hrs online per week EU: 14. 8, WE: 14. 0, NE: 14. 8, SE: 13. 8, CEE: 16. 1 6

The Finnish media consumption landscape Penetration TV Online Radio Newspapers Magazines 91% EU: 95%, WE: 94%, NE: 95%, SE: 97%, CEE: 95% 87% EU: 65%, WE: 81%, NE: 87%, SE: 61%, CEE: 55% 83% EU: 64%, WE: 82%, NE: 85%, SE: 68%, CEE: 48% 88% EU: 62%, WE: 70%, NE: 82%, SE: 59%, CEE: 56% 70% EU: 48%, WE: 63%, NE: 62%, SE: 43%, CEE: 39% 7

The Finnish media consumption landscape Hours per week used TV Online Radio Newspapers Magazines 12. 5 hrs EU: 16. 8 WE: 16. 0, NE: 14. 0, SE: 16. 7, CEE: 17. 7 13. 2 hrs EU: 14. 8 WE: 14. 0, NE: 14. 8, SE: 13. 8, CEE: 16. 1 13. 3 hrs EU: 12. 7 WE: 13. 4, NE: 13. 5, SE: 10. 6, CEE: 12. 9 4. 6 hrs EU: 4. 6 WE: 4. 8, NE: 4. 9, SE: 4. 2, CEE: 4. 6 3. 4 hrs EU: 4. 0 WE: 4. 0, NE: 3. 6, SE: 3. 5, CEE: 4. 2 8

Internet becomes ‘all consuming’ media device 89% EU: 73% WE: 67% NE: 81% SE: 65% CEE: 81% of Finnish Internet users watch TV online 5% watch TV online at least daily A further 28% watch TV at least weekly 9

Internet becomes ‘all consuming’ media device 68% of Internet users listen to the radio online EU: 67% WE: 61% NE: 67% SE: 64% CEE: 73% 4% listen to the radio online at least daily A further 12% listen at least weekly 96% of Internet users read news online EU: 91% WE: 86% NE: 94% SE: 91% CEE: 96% 44% read news online at least daily A further 27% read news at least weekly 10

Internet everywhere by any means 0. 3 m Finns use a Tablet to go online 11

Increasing choice of Internet access Accessing the internet via the computer is the most popular method – Used by 3. 9 million Finns (87% - EU: 64%) However 39% of all Internet users in Finland (EU: 37%) go online via more than one device 12

The alternative ways of going online 1. 3 m Finns go online using a mobile → 29% of Finns (EU: 21%) → Spend on average 5. 3 hours per week (EU: 9. 4 hrs) → 85% use their mobile to go online during the day 0. 3 m Finns go online using a tablet → 7% of Finns (EU: 8%) → Spend on average 5. 7 hours per week (EU: 9. 3 hrs) → 84% use their tablet to go online in the evening 13

The alternative ways of going online 0. 19 m Finns go online using a games console → 4% of all Finns (EU: 6%) 14

Advancing technologies in household Finland Home desktop computer EU E-Reader 62% 78% 16% 8% 1% 62% 56% 14% 9% 6% HDTV 36% 35% WE: 50%, NE: 48%, SE: 32%, CEE: 24% Internet enabled TV 26% 16% WE: 19%, NE: 20%, SE: 12%, CEE: 16% Laptop computer Netbook computer Tablet Device WE: 62%, NE: 63%, SE: 63%, CEE: 63% WE: 68%, NE: 77%, SE: 58%, CEE: 46% WE: 16%, NE: 11%, SE: 16%, CEE: 11% WE: 13%, NE: 13%, SE: 7%, CEE: 7% WE: 10%, NE: 2%, SE: 3%, CEE: 5% 15

Media multi-tasking means more active consumers 58% of Finns are online whilst watching TV EU: 48% WE: 58% NE: 59% SE: 39% CEE: 44% 16

Relationship between content consumption on TV and online 1. 6 hours per week across Finland (EU: 2. 8 hrs) is spent watching TV and online at the same time (13% (EU: 16%) of all time spent watching TV) Among Finns who watch TV and are online concurrently, 9% EU: 33% state the online activity is likely to be related to the TV programme they are watching 17

Relationship between content consumption on TV and online Programme Genre likely to be watching Entertainment News Documentary Sport Music Lifestyle Adverts/Advertising Finland 78% 53% 36% 21% 28% 19% EU 63% 61% 35% 31% 27% 18% 13% WE: 65%, NE: 62%, SE: 71%, CEE: 60% WE: 52%, NE: 47%, SE: 56%, CEE: 70% WE: 41%, NE: 35%, SE: 33%, CEE: 31% WE: 32%, NE: 27%, SE: 28%, CEE: 31% WE: 28%, NE: 21%, SE: 23%, CEE: 27% WE: 23%, NE: 25%, SE: 13%, CEE: 14% WE: 15%, NE: 16%, SE: 14%, CEE: 10% 18

Multi tasking by Internet device Internet users via a Tablet in Finland are most likely to multi task compared to other users of other internet devices • Only 44% do not use any other device whilst being online on a tablet (EU: 15%) • 12% watch TV whilst are online on a tablet (EU: 67%) 19

Brand relationships grow via digital touchpoints 26% of Finnish Internet users agree that the way a brand communicates online is important 20

Internet influence on brand choice and purchase decision 36% of all Finnish Internet users are inclined to find out more about products they see advertised online EU: 47% WE: 35% NE: 34% SE: 45% CEE: 59% 27% of all Finnish Internet users often visit the websites of my favourite brands EU: 46% WE: 42% NE: 34% SE: 48% CEE: 49% 22% of all Finnish Internet users state the way a brand communicates online is important in influencing my opinion of that brand EU: 30% WE: 19% NE: 18% SE: 29% CEE: 42% EU: 41% WE: 31% NE: 26% SE: 41% CEE: 51% of all Finnish Internet users are more likely to buy a product of a brand that they follow on a social networking site 26% 21

Internet influence on purchase decisions for products 45% of all Finnish Internet users state the internet helps them choose better products /service EU: 51% WE: 52% NE: 46% SE: 45% CEE: 53% 22

Internet influence on purchase decisions for products The Internet is most important when deciding to purchase Travel tickets Electrical goods Holidays Mobile handsets/contracts Financial products or services Cars Clothes and accessories Insurance Toiletries/ Cosmetics Health products Home furnishings Finland 62% 39% 63% 48% 21% 40% 37% 21% 24% 28% EU 57% 53% 50% 47% 44% 41% 39% 35% 35% 23

Consumers connecting via multiple touch-points Among all Finnish Smart phone users: → 57% are interested in location-based vouchers (EU: 48%) → 28% are interested in downloading a mobile phone app (EU: 41%) → 13% are interested in QR codes (EU: 32%) Among all Finnish Internet users: → 32% are interested in connecting via social networks (EU: 38%) → 16% are interested in viewing video content as part of advertising campaigns (EU: 30%) → 9% are interested in uploading video/ images to a brand’s website advertising (EU: 24%) 24

Benefits users get via digital 87% EU: 81% WE: 83% NE: 85% SE: 79% CEE: 80% of all Finnish Internet users state the internet helps them manage their lifestyle 69% 66% EU: 44% WE: 51% NE: 62% SE: 35% CEE: 40% of all Finnish Internet users state the internet helps them manage finances 62% EU: 43% WE: 54% NE: 61% SE: 44% CEE: 32% of all Finnish Internet users state the internet helps them book holidays or make travel arrangement of all Finnish Internet users state the internet helps them keep in touch with friends or relatives EU: 63% WE: 62% NE: 66% SE: 61% CEE: 64% 25

The internet is an entertainer and enabler 76% of Finns are online during the traditional primetime TV evening slot (EU: 52%) 26

Online is essential for entertainment 76% of all Finns are online during the primetime evening TV slot EU: 52% WE: 67% NE: 74% SE: 46% CEE: 42% 82% of all Finns are online during the weekend EU: 60% WE: 76% NE: 83% SE: 53% CEE: 51% 27

Online is essential for entertainment Entertainment Activities Ever Carried Out Watch video clips Listening to radio Listening to music online Watch a film Watch online TV Watch live events Music downloads Online gaming Use catch up or on demand TV Download video clips Download a film Download a TV programme Podcasting Finland 84% 68% 65% 59% 73% 62% 46% 53% 84% 52% 39% 46% 40% EU 81% 67% 66% 60% 59% 57% 55% 54% 52% 51% 46% 43% WE: 77%, NE: 86%, SE: 83%, CEE: 83% WE: 61%, NE: 67%, SE: 64%, CEE: 73% WE: 52%, NE: 65%, SE: 66%, CEE: 77% WE: 52%, NE: 60%, SE: 63%, CEE: 80% WE: 51%, NE: 69%, SE: 54%, CEE: 68% WE: 49%, NE: 59%, SE: 62%, CEE: 67% WE: 47%, NE: 47%, SE: 52%, CEE: 69% WE: 43%, NE: 45%, SE: 55%, CEE: 66% WE: 55%, NE: 63%, SE: 40%, CEE: 57% WE: 39%, NE: 49%, SE: 54%, CEE: 62% WE: 36%, NE: 39%, SE: 56%, CEE: 63% WE: 38%, NE: 45%, SE: 44%, CEE: 53% WE: 37%, NE: 42%, SE: 45%, CEE: 49% 28

Connectivity via mobile phones increasing engagement EU: 44% WE: 47% NE: 50% SE: 46% CEE: 40% 39% of Finns own a smartphone 29

Activities carried out on mobile phones Activities carried out on weekly basis Communication Send and receive emails Use a personal social network Use a professional social network Finland EU 27% 29% 3% 37% 29% 13% 33% 19% 12% 13% 7% 8% 33% 28% 27% 23% 19% 16% 11% 1% 2% 17% 11% 9% Entertainment/Info Access internet sites through a browser Download or listen to music Use a mobile phone search engine Download or use an app Download or play games Watch film, TV or video clips Download film, TV or video clips E-Commerce See advertising on an internet site/ app Shop online via web browser Shop online via an app 30

Instant access to information at consumers fingertips 44% of Finninsh Internet users visit news websites everyday 31

Websites visited Top Websites used at least Daily Finland Social media News Video Banking and Finance Hobby Sports Forums Jobs Music Local information 48% 44% 10% 12% 8% 6% 8% 3% 3% 5% Top Websites used at least Monthly Finland EU 43% 40% 18% 16% 15% 12% 11% 10% 9% News Social media Video Banking and Finance Maps Local information Other Hobby Films Music Price Comparison Sites EU 85% 68% 65% 86% 62% 56% 31% 33% 41% 78% 70% 67% 66% 61% 60% 58% 52% 49% 32

Internet enriches consumer communication 98% of Finnish Internet users communicate through email 33

Communicating online Top activities carried ever carried out EU: 95% Email 98% WE: 97%, NE: 97%, SE: 97%, CEE: 93% Instant message 64% WE: 63%, NE: 65%, SE: 79%, CEE: 79% Contribute to forums 63% WE: 54%, NE: 55%, SE: 65%, CEE: 69% Blogging EU: 73% EU: 62% EU: 56% NE: 49%, 60% WE: 43%, CEE: 65% SE: 63%, Top activities carried out at least Daily 46% 13% 4% 4% EU: 74% WE: 77%, NE: 68%, SE: 73%, CEE: 72% Top activities carried out at least Monthly 91% EU: 93% WE: 94%, NE: 93%, SE: 93%, CEE: 91% EU: 54% EU: 24% 34% EU: 9% 23% WE: 32%, NE: 27%, SE: 40%, CEE: 44% EU: 8% 28% WE: 25%, NE: 28%, SE: 41%, CEE: 34% WE: 18%, NE: 17%, SE: 30%, CEE: 28% WE: 7%, NE: 4%, SE: 8%, CEE: 12% WE: 5%, NE: 8%, SE: 10%, CEE: 9% WE: 43%, NE: 41%, SE: 62%, CEE: 62% EU: 38% EU: 32% 34

Communication with friends and family on Social media 79% of all Finnish Internet users have used a personal or professional Social Media website EU: 81% WE: 73%, NE: 80%, SE: 84%, CEE: 87% 35

Communication with friends and family on Social media Top activities carried out at least Daily Read emails I had received 72% Read emails I had received 48% Read updates/ messages EU: 80% Contacted someone specific EU: 63% Posted an update EU: 53% EU: 77% Read updates/ messages EU: 42% Contacted someone specific EU: 22% Posted an update EU: 17% Played games Top activities carried out at least Monthly 9% 12% 13% EU: 17% 90% EU: 91% 79% 62% 47% 36% Commented on photos/ videos EU: 49% 4% Uploaded photos/ videos EU: 49% 6% Played games EU: 48% 1% Updated my profile Commented on photos/ videos EU: 10% Updated my profile Uploaded photos/ videos EU: 8% EU: 6% 26% 41% 37% EU: 43% %s Among Social Media users 36

Communications with brands on Social media Top activities carried out at least Monthly ‘Liked’/ became a fan of a brand Unfriended brand Complained about a brand/product Complained directly to a company 30% EU: 42% Top activities ever carried out ‘Liked’/ became a fan of a brand 6% Complained directly to a company 11% Complained about a brand/product EU: 20% 7% 70% EU: 67% 70% EU: 52% 58% EU: 50% 45% Unfriended brand EU: 47% 4% Created group for favourite brand/product EU: 32% 3% Created group to boycott brand/product EU: 27% EU: 19% Created group for favourite brand/product EU: 16% Created group to boycott brand/product EU: 11% 23% %s Among Social Media users 37

Online plays a key function in the purchase funnel € 2, 350 million was spent online in Finland from September – February EU: € 187, 990 m 38

Purchasing online 97% of all Finnish Internet users research online for purchases EU: 96% WE: 97%, NE: 97%, SE: 97%, CEE: 93% 13% of all total shopping made is conducted online among Finnish Internet users EU: 19% WE: 24%, NE: 16%, SE: 15%, CEE: 16% 91% of all Finnish Internet users shop online EU: 87% WE: 94%, NE: 94%, SE: 88%, CEE: 80% %s Among Internet users 39

Spend online € 2, 350 million spent online in Finland across a 6 month period EU: € 187, 990 m 11 is the average number of purchases made person in Finland across a 6 month period EU: 13 € 684 is the average amount spent person in Finland across a 6 month period EU: € 544 %s Among Internet users/P 6 M purchasers 40

Products purchased Most popular products purchased online 40% Clothes and accessories 45% Travel tickets 52% Electrical goods 22% Holidays 33% Toiletries/ Cosmetics 21% Concert, theatre or festival tickets 32% Books EU: 43% EU: 38% EU: 34% EU: 32% EU: 28% EU: 26% EU: 25% 41

Conversion rates Products with highest conversion CDs DVDs Travel tickets Toys Books Clothes and accessories Concert, theatre or festival tickets Toiletries/ Cosmetics Electrical goods Cinema tickets Blu-ray discs Car hire Sports equipment Food/grocery shopping 94% 100% 90% 78% 91% 85% 74% 75% 65% 72% 73% 50% 54% 25% EU: 88% EU: 85% EU: 83% EU: 81% EU: 78% EU: 76% EU: 74% EU: 70% EU: 67% EU: 64% EU: 63% 42

To summarise The Internet is increasingly becoming the choice for consumption of other media – TV, radio, newspapers The Internet influences people’s perceptions of brands and products, although this could be further maximised Accessing the internet is no longer solely via traditional computer with people accessing more and more via mobiles, tablets and games consoles Increasingly people are watching TV and using the internet at the same time, growing tablet ownership levels will only drive this media convergence higher 43

THANKS IAB Europe mediascope@iabeurope. eu 44